Core Points - A mining rights transaction that began in 2021 has led to a lawsuit filed by Zhejiang Construction Investment against the Lanxi City Natural Resources and Planning Bureau, with a claim amounting to 1.88 billion yuan [2][6] - The lawsuit stems from a mining rights auction where Zhejiang Construction Investment's subsidiary won the rights for 1.27 billion yuan, with the project expected to produce 7.6 million tons annually [4][6] - The core issues of the dispute include mineral resource quantity, land use approval, and environmental impact assessment, which are critical for project advancement [8] Summary by Sections - **Transaction Background**: In June 2021, Zhejiang Construction Investment's subsidiary successfully bid for mining rights at a price of 1.27 billion yuan, with the project located in Lanxi City and a planned annual production capacity of 7.6 million tons [4][6] - **Legal Action**: On August 29, 2025, Zhejiang Construction Investment announced the lawsuit against the Lanxi City Natural Resources and Planning Bureau, seeking 1.88 billion yuan in damages due to alleged breaches of contract [2][3][6] - **Dispute Details**: The lawsuit highlights several performance defects by the Lanxi City Bureau, which the company claims have hindered the fulfillment of the contract and the project's objectives [8]

Core Viewpoint - The lawsuit initiated by Zhejiang Construction Investment against the Lanxi City Natural Resources and Planning Bureau stems from a mining rights transaction that began in 2021, with a claim amounting to 1.88 billion yuan, highlighting significant disputes over contract performance and resource estimates [1][2][5]. Group 1: Transaction Background - In June 2021, Zhejiang Construction Investment's subsidiary successfully bid for mining rights in the Lanxi City Chenjiaying Quarry for 1.27 billion yuan, with a planned annual production capacity of 7.6 million tons [3][4]. - The project was deemed strategically important for the company, aimed at increasing mineral resource reserves and ensuring stable supply of construction materials amid a scarcity in the market [3][4]. Group 2: Legal Dispute - The lawsuit filed on August 29, 2023, by Zhejiang Construction Investment's subsidiary, Zhejiang Lanxi Mining Co., seeks to terminate the mining rights contract and supplementary agreements, citing multiple breaches of contract by the Lanxi City Natural Resources and Planning Bureau [5][6]. - The core issues of the dispute include discrepancies in mineral resource estimates, approval for land use, and environmental impact assessments, which are critical for project advancement [7][8]. Group 3: Implications and Future Outlook - The company has indicated that it cannot currently assess the impact of the lawsuit on its profits, pending the court's decision, and will continue to monitor the situation closely [8].